NEW YORK CITY-AIG said Monday it has raised nearly $37 billion toward repaying its TARP bailout under terms of its Sept. 30 agreement with the Treasury Department and the Federal Reserve Bank of New York. The funds come from AIG’s sale of subsidiary American Life Insurance Co. and the initial public offering of AIA Group Ltd. Both are overseas operations.

The announcement comes as AIG closes on its $16.2-billion sale of ALICO to MetLife, including $7.2 billion in cash and the remainder in MetLife securities. AIG says it expects to use the cash proceeds from the ALICO and AIA transactions to repay the credit facility extended to AIG by the New York Fed and to make payments on other interests owned by the government. The MetLife securities will be sold over time to provide additional funds to repay the federal government.

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